RBNZ: OCR cut by 25 bps – TDS
The New Zealand Dollar is trading only slightly lower on Wednesday after a steep sell-off was triggered by the release of the Reserve Bank of New Zealand’s (RBNZ) interest rate decision. Earlier today, the RBNZ cut its benchmark interest rate for the first-time in two-and-a-half years and signaled a 50/50 chance of another easing, sending the Kiwi sharply lower.
The RBNZ lowered the official cash rate (OCR) by 25 basis points to an all-time trough of 1.50 percent, as expected, after switching in March to an explicitly dovish footing on weaker domestic activity and employment headwinds
Short positions below 0.6610 with targets at 0.6530 & 0.6465 in extension
Long positions above 1.6980 with targets at 1.7120 & 1.7188 in extension
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